©Reuters. FILE PHOTO: Raphael Bostic, president and CEO of the Federal Reserve Bank of Atlanta, speaks at the South African Reserve Bank’s biennial conference at the Cape Town International Convention Center, South Africa, August 31, 2023. REUTER
ATLANTA (Reuters) – Atlanta Federal Reserve President Raphael Bostic said on Friday he now expects only a quarter-point interest rate cut this year from the two cuts he had previously forecast, a change in its outlook driven by persistent inflation and more… economic data more than expected.
“I’m definitely less confident than I was in December” that inflation will continue to fall toward the Fed’s 2% target, Bostic said in comments to reporters. That led him to scale back his rate cut outlook and push back the likely start date to later in the year, he added.